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SCHUMER: TRUMP TARIFFS LIKELY TO DRIVE NEW YORK RIGHT INTO A RECESSION; NYC METRO AREA IS ESPECIALLY VULNERABLE AS ONE OF LARGEST TRADE HUBS IN WORLD; SENATOR DETAILS NUMBERS THAT COULD ROT VARIETY OF BIG APPLE INDUSTRIES & JOBS; URGES TRUMP TO BACK OFF BEFORE IT’S TOO LATE

Schumer Warns Over 260,000 NY Jobs Tied To Exports At “Direct Hit” Risk; JP Morgan Says Chance For National Recession Now At 60%--But Schumer Says For New York, That Risk Is Even Higher With EU Seeking To Retaliate At NYC Financial, Accounting & Tech Sector

Schumer Crunches Numbers To Say, As Of Right Now, Current Tariff Plan Could Cost NYC At Least $20 Billion Dollars; NYC Metropolitan Area Exports Second Most Goods Of Any U.S. Metropolitan Area – Much Of This Could Just Cease With NYC Revenues, Jobs, Investments All Nosediving

Schumer: Donald Trump’s Pinball Tariff Strategy Will Wreak Total Havoc On NYC & Could Drive A Deep & Needless Recession; Put Down The Golf Club & Pick Up The Papers

With tariff chaos wreaking havoc on the U.S. economy, U.S. Senator Charles Schumer, today, issued a dire warning, with the numbers and the data to back it up: Trump tariffs are likely to drive New York's economy right into a recession. 

"President Trump's pinball tariff strategy will wreak total havoc on New York City and is likely to drive us right into a recession," Schumer said. "We've crunched the numbers, and what doesn't look good for the nation, looks far worse for New York City. Some of the Big Apple's core sectors are being targeted already, New Yorkers face roughly $20 billion dollars in increased costs, and a staggering 260,000 New York jobs are under threat, unless Donald Trump backs off—and that is exactly what I am urging today. Back off, President Trump.”

Schumer, today, cited numbers that he predicts would go beyond the JP Morgan chances of a national recession while citing specific New York industries and sectors that would be especially slammed as the President's pinball plans knock out some of New York's most resilient industries—from finance, to tech and accounting. However, Schumer also cited tourism, fashion and other lifestyle industries across the city that would be equally damaged. 

Schumer explained an ominous fact, detailing how New York and its metro area is especially vulnerable to the President's needless tariff war because it is one of the world's largest trade hubs. Schumer explained that the New York port and area import and export hubs hum with activity that pumps billions of dollars into the New York City economy each year.  

Specifically, Schumer said that the President's plans also put over 260,000 New York jobs tied to exports at, what he calls, a "direct hit" economic risk. Schumer explained that JP Morgan released data showing the nation's chances of a recession are now at 60%--but Schumer says, in New York, the number is much higher. Schumer also said that, right now, the European Union is seeking to retaliate directly at New York City's financial, accounting and tech sectors. He warned, today, that Asia would be next.  

Just last week, JP Morgan said that the chance of a recession substantially increased due to President Donald Trump's tariff announcement. The report, headlined "There will be blood" and dated April 3, warned, "these policies, if sustained, would likely push the US and possibly global economy into recession this year. An update of our probability scenario tree makes this point, raising the risk of a recession this year to 60%."

"Disruptive U.S. policies have been recognized as the biggest risk to the global outlook all year," JP Morgan said last week, adding that the country's trade policy has turned less business friendly than anticipated.

"The effect is likely to be magnified through tariff retaliation, a slide in U.S. business sentiment and supply-chain disruptions," JP Morgan warned. S&P Global, the rating firm, also raised its "subjective" probability of a U.S. recession last week.

Schumer also pointed to Barclays, and brokerages HSBC, Deutsche Bank and BofA warned last Thursday that the U.S. economy faces a higher risk of slipping into a recession this year if the President’s tariffs remain in place.

Financial reports say that if the tariffs are sustained, "recession risks will likely rise materially," Deutsche Bank said in a note, while BofA noted the economy could be pushed to "the precipice of recession," according to reports. Both Deutsche Bank and BofA predicted tariffs could ‘potentially shave 1-1.5 percentage points from U.S. economic growth this year.’

And today, Goldman Sachs has now sounded their own alarm, saying the chances of a recession have increased greatly.

Schumer echoed these warnings and other reports saying Trump’s tariff increase is “largest tax hike since 1968”—comparable to Smoot-Hawley, Schumer says.  

As for New York City, Schumer is seeing red. Specifically:

  1. Schumer says that Trump’s tariffs will raise costs for NYC and threaten to put the Big Apple straight into a recession:
  2. Schumer detailed how NYC is particularly vulnerable:
    • NYC is one of the largest trade hubs in the country, with more than $200 Billion in trade in goods alone each year ($100b imports, $100b exports) – Schumer says this entire subset economy has been fractured, no matter what the President does right now.
    • Schumer can say that Trump’s tariffs will mean a nearly $20 Billion-dollar DIRECT HIT to NYC, and that’s before other countries try to retaliate. Schumer says the EU and Asia have begun the process.
    • 80,000 jobs were already at risk before Trump’s latest announcement, which now threatens the more than 250,000 jobs in New York that are dependent on exports and could be threatened by retaliation.
  3. Schumer says key NYC industries are already feeling the effects:
    • NYC’s biggest industries are in information services (financial, accounting, tech), which are the focus of the EU’s potential retaliation, and Schumer says it is clear that Asia will begin retaliation this week.
    • Tourism: Countries like Canada are boycotting travel to US, which has already seen a 23% drop in Canadian travel to US. But Schumer says the pinball tariff strategy will also constrict tourism on a global scale, constricting the global economy and weakening the dollar.  
    • Fashion/Garment industry is facing price increases of 10 to 17% -- Schumer says NYC is a fashion and garment hub, from leathers to other textiles, and that the current tariff ‘plan’ will rip the threads out of the NYC fashion and commerce economy.

Schumer has fought to help New York push back against these pinball tariffs, forcing a vote to rescind Trump’s disastrous tariffs and protect NY consumers.

Following Democrats’ successful effort to force a Senate vote to pull back Trump’s tariffs on Canada, Schumer pushed an amendment to rescind any tariffs put in place after January 20, 2025 that have increased the costs of groceries, medicines, or other everyday goods, while leaving in place tariffs on adversaries like China, Russia, Iran, and North Korea. Schumer explained he authored the amendment because Congress should be prioritizing reducing costs for families and small businesses, not taxing middle class families to pay for tax cuts for billionaires.

“Bottom line, Schumer says, Donald Trump’s tariff strategy will wreak total havoc on the New York City economy and is likely to drive us straight into a recession. I urge the President to back off. Put down the golf clubs and pick up the papers and have a look at what is going on because it is anything but ‘great.’”

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